Medishield Life – CPF owes you or you owe CPF money?

I quote here a couple of paragraphs from Leslie Chew’s article titled, ‘With friends like these, you don’t need enemies’ posted in TRE. In his concise post he explained why and how our savings in the CPF would turn from a credit to a liability with the introduction of Medishield Life. For now many people with money in the CPF are smiling thinking that the CPF owes them money. Once they retired and started to pay and pay for the Medishild Life till they reach 80, 90 or older, without an income, they will deplete whatever savings left in the CPF, including all the minimum sums, to service this insurance scheme that many don’t need and did not want’

Here’s the quote,

‘And now, he set(s) up a new company and force(s) your whole family to buy his insurance. The premiums will be deducted from the money he owes you. Opting out is not an option, as he will just deduct whether you like it or not. Furthermore, he alone will get to decide on how much the premiums are and you have no say.

Eventually, the premiums are going to wipe out whatever amount he owes you. That is when things get interesting. Now instead of him owing you money, you owe him. And with that, you have to pay him cash for the premiums he demands. If you fail to pay, he will file an injunction to prevent you from leaving the country, even if it is just for a short trip to relax in nearby JB, till you somehow manage to cough up money to pay him. On top of that, he will demand that you pay as high as 17% interests on whatever he says you owe him. If you keep refusing to make payment into his scam, he will have you thrown in jail.’

The ingenious Medishield Life Insurance scheme, a compulsory scheme designed and decided unilaterally and arbirarily by the Govt, will change the status of creditors to debtors and vice versa. This is what you paid millions of dollars for, for brilliant people and their brilliant schemes? It is simply too brilliant, or is it that the people are just too daft to say no?

There are several aspects of this Medishield Life that are simply vicious and unjust. Many people are losing their jobs in their 40s and 50s despite the raising of retirement age. How are these people going to service the premiums for the next 30 or 40 years or more? Many retiring in their 60s would also have problems doing so?

And there are Singaporeans overseas paying high taxes and insurance in foreign countries but must contribute to this Medishield Life when they are not using it? How can this be? The govt does not see anything wrong about it. Yes, to them forcing Singaporeans overseas to pay this tax is their right? Yes, it is no longer a CPF savings but a life time tax for all Singaporeans, to be paid from birth to death, regardless of age. The Govt has converted a CPF savings scheme into a life time taxation. The hideous part, other than those living and working abroad are compelled to pay, the babies and the oldies, retirees in their 70s, 80s, 90s, 100 year olds, must pay.

The Govt does not think there is anything wrong with this philosophy and policy. How could they see anything wrong to collect money from the people, from the young and old who have no income, and the Singaporeans working and staying overseas?

Can the people see anything wrong with these? Would they be infuriated to want to do something, to want change?

What do you think? Can you still smile at your CPF statements?


Anonymous said...

Medichield Life is a fair and brilliant scheme. It protects the vulnerable from medical debt in the unfortunate event of one falling ill and needs high medical expenses. What is wrong with that. It is just like any other kind of insurance. It is fair and useful.

Anonymous said...

You are wrong.
The government is not converting this into a life time taxation system. It has been so for many years
Every year, the government tax your "excess" CPF investment.
Every year, the government tax with medi-stuff deductions, with lots of money going to the selected companies.
Now, they are just getting more blatant, with 17% interest and jail terms for those who cannot pay.

Anonymous said...

Of course, must punish those free riders who are doing well and not paying their fair share. Fine them or jail them, otherwise everyone will also don't want to pay.

agongkia said...

Gamen is not wrong with this philosophy n policy.
Wrong are those dafts who cannot tell the difference between a tax and a saving.
Benefits of this tax is that it can be use to buy your pigeon hole n pay for medical expenses or loan you to let your children further their study.
We must be grateful to have a good garmen who can plan n care for us.

Anonymous said...

Can the people see anything wrong with these? Would they be infuriated to want to do something, to want change?

Infuriated, yes. But change govt, no, at least not for the majority (aka 60%), and also not during coming election.

Because if they wanted to change, they (60%) would had done so in last election. But they didn't. Why? Simply because the opposition then was not strong and ready to be govt.

Is the opposition now stronger and ready to be govt? If not, why would the majority want to change govt now, u tell me lah? And why would 65 years old RB want to contest GE now, when he did not do so when he was much younger?

agongkia said...
This comment has been removed by the author.
Anonymous said...

Yes, punish the daft. Wait till your turn comes.

Anonymous said...


Life in this increasingly very crowded island is like that lah.

One has to get used to pay and pay and pay and pay and pay and pay.

No Money No Talk!

This is all about living in Singapore!

You don't know meh?

希望明天会更好! 希望明天会更好!


Anonymous said...

With my millions, I can pay forever. You daft heartlanders think you got money to pay forever? Hahahhahahhah. Khong cum.

Anonymous said...

Wah, 3 corner fight likely some more in coming election. No wonder PAP dare to implement Medishield Life by taking premiums from Sinkie CPF!

With Sinkies like Goh Meng Seng, Benjamin Pwee, Hainan Ah Ko, Ah Chiam's wife and so on as opposition leaders, how can PAP not win and implement Medishield Life, CPF Life and what not Life, build expensive 1.17 m corridor pigeonholes, jobs for foreigners and NS, taxi drivers and security guards for Sinkies, u tell me lah?

Anonymous said...

Just vote opposition.
Then we see whether CPF owes us money or not.